Robert Samuelson discusses The Global Savings Glut
Like others, Bernanke warns that these trade imbalances -- our huge deficits, their huge surpluses -- seem dangerous. His contribution is to show that their main causes lie outside the United States. To say a country has surplus saving is simply another way of saying that it lacks good investment opportunities at home or discourages its citizens from consuming.
Me? I run a huge trade deficit with King Soopers! The solution may well be something I talked about a few days ago
. HT Jane Galt